TDS Return Forms 24Q, 26Q, 27Q, 27EQ

TDS Return Forms 24Q, 26Q, 27Q, 27EQ? “Tax deducted at source” means that the payee or employer deducts the tax before paying it to the recipient.

The tax deducted at source or TDS a type of advance tax which according to the Indian Taxation Code deposited in the account of that entity before the money of a person or entity.

The government is able to generate revenue by applying the provisions of TDS on the earnings of individuals as well as businesses. The rules and laws regarding TDS governed and controlled by the Central Board of Direct Taxes (CBDT) under the Income Tax Act, 1961.

Advantages of payment of TDS

TDS is payable on earnings, so it is important to note that the liability to pay TDS actually applies only in the event of earning.

TDS deducted before payment. Payments are to made on payments made in cash, check, or credit.

The amount deducted under TDS further deposited with various government agencies. There are various benefits of payment of TDS which are as follows:

• Deducting TDS at the source prevents tax evasion.
• Tax collection is done duly and in a timely manner.
• A large number of people come under the tax net.
• The collection of TDS is a steady source of revenue for the government.

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Different Types of TDS Return Forms

Form 24Q

• It used to prepare the ETDS return for TDS deducted on salary under section 192 of the Income Tax Act, 1961.
• It has to submit on a quarterly basis by the deductor.
• This includes details such as payment of salaries and deducted TDS of employees by the employer.
• It consists of 2 attachments as Annexure-I and AnnexureII. Annexure-I contains details of deductors, and invoices, while Annexure-II contains salary details of deductors.
• Annexure-I to submitted by the deductor for all four quarters of the financial year.
• Annexure-II should not submit in the first three quarters of the financial year, but it has to submit and furnished with the details of the salary of the employees for the entire financial year in the fourth quarter of the financial year.

Form 26Q

• It to submitted for tax deduction at the source for all the payments received other than the salary.
• It presented on a quarterly basis by the deductor and applies to tax deducted at source under sections 200 (3), 193, and 194 of the Income Tax Act, 1961.
• Tax deducted income at source includes interest on securities, dividend securities, professional fees, directors’ remuneration, etc.
• It is mandatory to submit PAN by non-official deductors. For the government, deductors must mention in the “PANNOTREQD” form.

Form 27Q

• It was applicable for payments made to non-resident Indians and foreigners other than salary.
• And it has to be filled in for the declaration of Tax Deducted at source for the NRIs and Foreigners.
• It presented on a quarterly basis by the deductor and is applicable for deduction of tax at source under Section 200 (3) of the Income Tax Act of 1961.
• The income on which tax deducted at source, includes interest, bonus, any additional income, or any other amount owed to a non-resident Indian or foreigner.
• It is compulsory for non-government deductors to furnish PAN. For government deductors, the code “PANNOTREQD” has to be mentioned on the form.

Form 27EQ

• It is a quarterly statement that presents the tax details and information collected at the source as per Section 206C of the Income Tax Act of 1961.
• The form 27EQ submitted on a quarterly basis. In this form, it is mandatory to furnish TAN.
• This a statement showing the tax collected at the source (TCS), which the tax collected by the seller. When a buyer purchases certain goods or items, the seller collects tax from the buyer through the TCS route. This tax charged by cash, credit, check, demand draft, or any other payment method on payment received from the buyer.
• It to furnished by corporate deductors and collectors, but not by government deductors and collectors. It is mandatory to submit PAN by non-official deductors. For government deductors, the code “PANNOTREQD” must be mentioned in the form.

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Rate of TDS Deduction

Payments such as salaries, commissions, professional fees, accrued interest, rent, etc. are subject to TDS deduction. Depending on the type of income and the amount of income earned, TDS paid at various rates.

Thus, different types of income have different TDS rates and taxes paid on the additional amount earned after attaining an additional maximum threshold limit. The rate at which TDS paid varies from 1 percent to 30 percent depending on the income tax.

Method of TDS Deduction

As generally known, TDS deducted on payments made to the receiver. This means that the payment made to the receiver after deducting the appropriate tax for the income in question.

The number of TDS that liable to paid deducted from the payment due to the recipient of the payment and the remaining payment made. It is important to note that the deductor liability for deducting TDS lies with the deductor.

For example, in the case of salary paid by the employer to the employee, the employer is the deductor and the employee is the TDS deductor.

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Late Filing of TDS Return Forms

As per the new rules, effective from April 1, 2017, the maximum is liable to pay a fine of Rs. 10,000 for late filing of TDS return.

In addition, the filing of Form 24Q has been extended from 31 August, 201 201 to 31 July 2011 26. The details of penalties for late filing of Form 24Q are outlined in the table below:

How to Download TDS Return Forms

The TDS return form is subdivided into four categories. A taxpayer is required to select the particular category for which he has to file a TDS return accordingly. Here are the steps through which a taxpayer can download the TDS Return Form:

• Visit the official website of NSDL at https://www.tin-nsdl.com/
• Click the “Downloads” tab and choose E-TDS/E-TCS from the drop-down list menu
• Click “Quarterly Returns” and then choose “Regular”
• You will be redirected to the new page
• Choose the TDS Return Form as per the requirement mentioned under section “Form”

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